Housing for People with Mental Illness Presentation to NAMI Convention

Andrew SperlingAnn O’HaraDavid MillerJune 19, 2005

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Housing Needs

and

Housing Affordability

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Priced Out in 2003-2004

New Priced Out in 2003-2004 to be published in June 2005 Non-elderly people with disabilities are three times

more likely to have incomes at or below 30% of AMI than households without disabilities

In 2003, 51% of 1 person non-elderly disabled households in U.S. had incomes below 30 AMI

In 2004, average 1 bedroom rents nationally still higher than SSI monthly income

Key findings in Priced Out in 2002 SSI income = 18% AMI Average 1 bedroom rent = 105% of SSI

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SSI Income

Median Income

50 % of Median Income

18 % of Median Income (SSI)

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HUD Housing Needs Data

HUD reports to Congress on “Worst Case” Housing Needs Paying more than 50% of income for housing Living in substandard housing Both conditions

5 million households have “worst case” housing needs

1.4 million are people with disabilities receiving SSI

People with disabilities more likely to have both “worst case” conditions

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Housing Affordability and SSI

Average rent = $600+ SSI = $585 30 percent of SSI = $175 Monthly rent or operating subsidy is

essential for people with SSI to obtain affordable housing

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Your Community’s Affordable Housing System

S ec tion 8 1 1 H ou s in gN ew $ $ fo r H ou s in g

F ed era l A ss is ted H ou s in gC on vertin g to "e ld erly on ly"

P riva te H ou s in g P rovid ers

S ec tion 8 C ertifica tes an d V ou ch ersN ew $ $ fo r H ou s in g

P u b lic H ou s in g U n itsC on vert in g to "e ld erly on ly"

P u b lic H ou s in g A u th o rit ies

H U D m an d ated C on so lid a ted P lanC on tro ls N ew $ $ fo r H ou s in g

H O M E C D B G an d M cK in n ey F u n d s fo r H ou s in gN ew $ $ fo r H ou s in g an d S ervices

S ta te /L oca l C om m u n ity D eve lop m en t O ffic ia ls

U .S . D ep artm en t o f H ou s in g an d U rb an D eve lop m en t (H U D )

U n ited S ta tes C on g ress

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Key Subsidy Programs

Public and Assisted Housing (500,000 units are now “elderly only”)

Section 811 Supportive Housing for Persons with Disabilities Program

Section 8 Housing Choice Voucher Program McKinney-Vento Homeless Assistance

Programs

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Section 811 Program

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Section 811

Develops supportive housing through a capital advance component (30,000 units)

Also provides a monthly project subsidy for these capital units through a “one-stop” application process

Provides tenant-based rental assistance through the Section 8 Mainstream Voucher program (12,000 vouchers)

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Administration’s 2006 Budget Proposal for Section 811

Cuts 811 funding by 50% (from $238 million to $120 million)

No cuts in “companion” Section 202 Elderly program

Section 811 budget proposal would eliminate the housing development component of the program (compared to 1,030 units in 2005 NOFA)

Proposal only funds renewal of PRACs and tenant based vouchers

Any remaining ’06 funding would be for tenant based vouchers

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Section 811 NAMI Position Paper

Restore program funding to 2004 level of $249 million

Maintain and improve the housing development component of Section 811

Eliminate outdated bureaucratic requirements which restrict leveraging of other funds with Section 811 capital

No expansion of the tenant based Mainstream voucher program because of serious mis-management issues at HUD

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Section 8 Housing Choice Voucher Program

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New Legislation Proposes to End Section 8 Housing Choice Voucher Program S. 771 and H.R. 1999 (drafted by HUD) propose

New Flexible Voucher Program proposed Proposal would cause seriously harm to people with

disabilities New TAC study shows disproportionate impact of

Flexible Voucher Program on people with disabilities FVP would end targeting of vouchers to people

with disabilities at or below 30% of AMI Non-elderly people with disabilities are three

times more likely to be at or below 30% of AMI than people without disabilities (ACS – 2003)

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Summary of Flexible Voucher Proposal

HCV currently targets 75% of vouchers to people at or below 30% of AMI – This targeting would be eliminated

Expands voucher eligibility to households at 80% of AMI

PHA flexibility on priority activities – similar to a block grant

Participants could be required to pay higher rents Disability-specific preferences would be permitted Eliminates valuable civil rights and programmatic

protections for people with disabilities Eliminates 50,000 vouchers set-aside by Congress for

people with disabilities affected by “elderly only” designation

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Section 105 Protections

Section 105 of bill (S. 771) appears to protect people with disabilities

Allows current elderly and disabled voucher holders continue to receive assistance under current rules until January 1, 2009

Allows PHAs to implement new rules for new voucher holders with disabilities before January 1, 2009

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Disability Vouchers

62,000 vouchers set-aside for people with disabilities 50,000 1 year vouchers funded from Section 8 12,000 5 year vouchers funded from Section 811

under the Mainstream Program Congress mandated that these vouchers continue to

be provided to people with disabilities upon turnover Many PHAs are not aware of these requirements HUD Notice issued February 1, 2005 More information at www.tacinc.org Opening Doors Issue #25

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Disability Vouchers

Awarded primarily to PHAs between 1997-2001 Includes:

Section 8 vouchers in conjunction with “elderly only” public housing

Section 8 vouchers in conjunction with “elderly only” HUD assisted housing

Section 8 Mainstream vouchers (1 year contracts) Section 8 Mainstream vouchers (5 year contracts

funded from Section 811)

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HUD McKinney-Vento Homeless Programs Programs only for people who are already homeless

Shelter Plus Care Supportive Housing Program (SHP) Section 8 SRO Program

Emphasis on paying for permanent housing rather than services

New emphasis on assisting chronically homeless people Samaritan Initiative will develop new permanent housing

for people who are chronically homeless Definition: Unaccompanied adult who has been

continuously homeless for more than 1 year or had at least 4 episodes of homelessness in the past 3 years

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Other Important Housing Issues

Housing Planning HUD Consolidated Plan controls HOME

and CDBG funding HUD Public Housing Agency Plan controls

Section 8 and public housing funds Qualified Allocation Plan controls awards

of Low Income Housing Tax Credits

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What You Can Do

State and local housing officials need to hear from you! Members of Congress need to hear from you! Educate yourself on affordable housing issues and

programs Become a housing advocate in your community and your

state Organize disability advocates around a specific objective

Section 811 budget Section 8 vouchers set-aside for people with disabilities

Have a clear strategy and action steps Use TAC’s publications and website (www.tacinc.org)